Filing Your Personal Bankruptcy

When you decide to file your own bankruptcy you are taking on a lot of responsibility. You have to be very focused on your personal bankruptcy. It can be easy to miss points that are important to the process. It is not abnormal for people to file their personal bankruptcy themselves, but it is always advisable to seek assistance from someone who has been through eh process or who is a professional in the area of bankruptcy.

Options in Personal Bankruptcy

When filing bankruptcy your first determination is what type of bankruptcy to file. The most common choices are Chapter 7 or Chapter 13.

Chapter 7 is where all debts are erased. To file this you must be under a certain income level. You should also only file this if most or all of your assets are exempt.

Chapter 13 is a repayment plan. The court establishes a plan to repay your debts according to your income. You and your creditors must agree upon the plan. This is best if you have a lot of assets that could be lost through a Chapter 7. Also the new laws require people over a certain income level to file Chapter 13 and not Chapter 7.

Choices to Make in Filing Personal Bankruptcy

You will have many others things you must decide upon as well. As mentioned, exemptions are important. You may have to decide what assets to use as exemptions and what to let go.

You will also have to look at your ability to repay. You may be better off seeking out repayment outside of bankruptcy court instead. That would be less damaging to your credit.

You will also have to decide if you want to hire an attorney once you get into the process to help you in court. In a Chapter 13 having an attorney can really help you to get the best repayment plan.

Important Points to Consider when Filing Personal Bankruptcy

One of the main things to consider when filing bankruptcy and something an attorney would pint out is alternative options. You really have to think about what you can do besides filing bankruptcy. You may be able to figure something out that will leave you in better shape.

However, many times bankruptcy is really the only way to fix financial trouble and that is why the laws are in place. They are there to make sure you do not get too deep in debt and that you can fix the situation and start all over again with a clean slate.

Make sure you do not abuse the system. While there are plenty of checks in place to keep a person from misusing the system, there are still things that you should not do - like filing repeatedly and filing against creditors you do not need to.

Find out more about personal bankruptcy and why it can badly affect someone's finances. The records stays with you for almost 10 years. Visit this website for more information on bankruptcy at this website: http://www.outofbankruptcy.info

Bankruptcy Questions - What to Know Before Filing For Bankruptcy

Are you having debt issues and considering filing for bankruptcy? Do you really know what you are getting into? Bankruptcy is a very serious decision and you need to know before you do it. Here are the answers to the bankruptcy questions you might have.

What will bankruptcy do to my credit?

Here is the answer. Bankruptcy will basically ruin your credit for a couple years. You will struggle to get a good loan, even though you will get bombarded with offers as soon as your filing becomes public. Loan companies and credit card companies know that you cannot file for bankruptcy again for 7 years so they will try to get you to take out a high interest loan or credit card.

How much will bankruptcy cost me?

To file you will pay between $400 and $1,500 depending on what type of bankruptcy you file for and whether you do it on your own or with an attorney. Most people will file for chapter 7 or 13 and will use an attorney. This will run around $1,000 and if it is chapter 13 you will have to pay off your debts as well.

Will I be able to keep my car or home if I file for bankruptcy?

The only way to keep anything when you file for bankruptcy is to not include it in the bankruptcy. If you do your mortgage company will foreclose right away and your auto lender will come and repossess your vehicle. They will do this so they can get as much of their money as possible.

There are many things to consider when it comes to filing for bankruptcy and these are just a few of the many bankruptcy questions you might have. Make sure you are considering all of your options before you spend the money to file and make sure you are making the right decision.

Discover the answers to all your Bankruptcy Questions. Get the answers here:

Bankruptcy Questions, go here

Pros and Cons of Filing Bankruptcy Protection

It is quite a demeaning experience if anyone ever has to go through bankruptcy in his or her lifetime. Filing for bankruptcy takes a lot of out of a person emotionally. It can have an emotional toll on people because of the stress of feeling inadequate and feeling at loss if you are ever going to be financially sound again. While no one would wish to be bankrupt, there are definitely some advantages and disadvantages tied to bankruptcy. The benefit that people get from filing bankruptcy is that they will eliminate the debt that have been plaguing them for weeks and months. Every benefit comes with disadvantage. While bankruptcy can give you financial relieve, it also can damage your credit history for the next 10 years.

If you are in a dire financial position, here are some of the advantages if you choose to file for bankruptcy.

Credit card debt will be discharged

With the issuance of the bankruptcy discharge papers, you can successfully have all your credit card debt wiped off and not have to pay a single dime.

Medical bills can be removed as part of the bankruptcy filing

You have undoubtedly sign those waiver forms promising to pay the doctors for their consultation. You will be freed of the medical bills that you have accrued over the years.

You can keep your home

As part of the Chapter 13 bankruptcy plea deal, you will be allowed to keep your house because you will be paying it through installment plans. With chapter 7 bankruptcy filing, you can seek to use the bankruptcy exemption clause. Through the use of bankruptcy exemption, you can potentially keep your house too.

Home foreclosure can be prevented with bankruptcy

An "advantage" of filing bankruptcy is the automatic stay which prohibits any creditors from pursuing any legal actions against you. In simpler terms, automatic stay can stop any foreclosure efforts by the mortgage lender until it is resolved in the bankruptcy court.

Bankruptcy usually does not drag past 2-3 months

The entire process of filing for bankruptcy and receiving the discharge papers should take not more than 2-3 months. If you only have to wait 3 months to complete a bankruptcy petition, with the ultimate outcome of becoming debt free, it should considered a relatively easy and painless process.

As you can see, there are many "advantages" to filing for bankruptcy shelter. It seems quite ironic that you are fighting for an benefit when you are filing for bankruptcy shelter. Many people realize the disadvantage to filing bankruptcy when the credit history is effectively ruined for the next 10 years. If you are in this dire financial hole and you simply cannot repay the numerous debt you have accumulated, why not take advantage of the bankruptcy code and wipe away your debt once and for all. If you find bankruptcy advantageous and disadvantageous in your particular situation, you should always consult a bankruptcy lawyer. Bankruptcy is no laughing matter and should be taken seriously. Use a bankruptcy lawyer to achieve a successful filing.

Steve Sanchez has recently overcome the economic depression of 2008-2009 by declaring bankruptcy. Even though bankruptcy has devastated Steve financially and emotionally, Steve has rebuilt his businesses in the last 6 months and he has not looked back since.

One of his project is to educate people on bankruptcy. Having gone through the ordeal himself, he has first hand knowledge of the pros and cons of filing for bankruptcy protection. Please visit his site http://ToFileBankruptcyOrNot.com if you want additional information regarding bankruptcy.

Finding Bankruptcy Assistance Online

Bankruptcy can bring more problems with it than you might expect, especially if you're not entirely sure what it is. Luckily, there are a variety of online resources that can not only educate you as to the ins and outs of bankruptcy but can also assist you with your filing or help you to find an alternative to filing for bankruptcy.

Of course, the topic of bankruptcy is rather broad and can't be completely covered within the limited scope of this article. Instead, this article is simply meant to point the way to further information and to possibly help answer some questions that you might have concerning bankruptcy. If you have questions that can't be answered with the information provided here, you should consult an attorney or bankruptcy specialist in your area to make sure that you have the best information that pertains to you and your personal situation.

What Is Bankruptcy?

Bankruptcy is a legal filing that makes the claim that you are in debt to the point that you cannot reasonably recover without the assistance of the courts. When you file for bankruptcy, a court-appointed representative will go through your debts and recommend to the court that some of the debts be discharged (meaning that they are legally excused and no longer have to be paid), and other debts may be reduced.

This representative will then work with you and your creditors to create a repayment plan which will be overseen by the court system; in most cases the amount to be repaid is deducted automatically from your payroll cheque before you even get a chance to see the money. These deductions will continue until the remaining debt is paid off, after which point the bankruptcy itself is discharged.

It's important to note that not all eligible debts will be discharged, and that not all types of debt are eligible for discharge. The court will usually only discharge those debts that it is obvious that you won't be able to pay, and any property that you have which is under lien is likely to be sold as a part of the bankruptcy process. Court-appointed debts such as child support and alimony payments are never discharged, and will still be due after the bankruptcy.

Finding Bankruptcy Information Online

In order to find additional information on bankruptcy and bankruptcy specialists online, you should use your preferred search engine and do a search on the legal and technical aspects of filing for bankruptcy in the area where you live. You can also use online telephone directories to search for experts in your area, or for law firms that specialize in bankruptcy cases. You might also want to look for forums dedicated to those who have gone through a bankruptcy in your area, in order to get more of a "first hand" look at what bankruptcy is like. This will enable you to prepare yourself for some of the more difficult aspects of filing for bankruptcy and the recovery period afterward.

Bankruptcy Alternatives Online

Just as you can find information on bankruptcy online, you should also be able to find information on bankruptcy alternatives. This may include consumer credit counseling agencies and other related services, tips for self-regulation and debt relief, and possibly information on low-interest debt consolidation loans using home equity or other high-value collateral. You should keep in mind, however, that there are a number of scams created to prey on those who are down on their luck financially. Do your research on any bankruptcy alternatives that you find to keep from becoming a fraud statistic.

Paul Rogers writes general finance and loan articles for the Loans UK Online website at www.loansukonline.co.uk [http://www.loansukonline.co.uk/]

Marriage During Chapter 13 Bankruptcy

We can never tell the future. Some people file bankruptcy and then get married. With a Chapter 7
bankruptcy, it is normally not a problem because most Chapter 7 bankruptcies are over in a matter of months. However, a Chapter 13 bankruptcy will last between 3 to 5 years. And a lot can change during that time, including finding Mr. Right or Ms. Right. For individuals who are still in a Chapter 13 case, the question becomes: "Does marriage during Chapter 13 bankruptcy affect the bankruptcy"? And "if it does, how"?

The simple answer is yes, marriage during Chapter 13 bankruptcy does or, at least, can affect the
bankruptcy.

One of the first things that you do when filing bankruptcy is to disclose your income and expenses so that the court, trustee, and creditors can fairly determine your financial situation and your ability to pay on a Chapter 13 payment plan. With an individual, the law looks at the individual's finances. With a married individual filing an individual bankruptcy, the law looks at the married couple's finances even though one Spouse is not involved in the bankruptcy.

Also, in determining if an individual qualifies for bankruptcy, the finances of the individual or the married couple are compared to other people in your state in a similar situation.

The law does not merely look at your financial situation at the beginning of filing bankruptcy. Rather, the law will look at your financial situation when there are changes because the changes may affect your ability to pay the payment plan.

In the case of getting married during a Chapter 13 bankruptcy, you may actually be able to pay more to your creditors because your monthly net income (income less expenses) may increase if your new Spouse helps pay household bills. However, if your new Spouse does not work and does not pay toward household expenses, you may actually have less money to pay toward your payment plan.

Regardless of whether or not your new Spouse works and contributes to paying household bills, you need to notify the trustee of your marriage. Depending on your situation, your Chapter 13 bankruptcy payment plan may need to be amended to reflect your new ability to pay or not to pay.

Even though your new Spouse can affect your payment plan, your new Spouse will not be a party to your bankruptcy.

This is general information. If you need specific information or have any questions of any nature whatsoever, talk with a lawyer licensed in your state.

This article may be republished, but the wording must not be changed and the author links must remain active.

Stop! Did you know that bankruptcy was created to give people a fresh start? Find out more at bankruptcy information. And click here for more insights on Chapter 13 bankruptcy.

Filing Bankruptcy - Can I File Bankruptcy For Free?

There are three main costs in filing bankruptcy:

1. The attorney fees;
2. The court costs; and
3. The credit counseling classes.

If you handle the whole case yourself, you can save the attorney fees. The bankruptcy court calls this a "pro se" filing. In the Dallas area, bankruptcy attorney fees range from around $1700 on the low end to around $3,200 on the high end with lots of bankruptcy lawyers falling somewhere in between. You will need a copy of the forms and stuff but the bankruptcy court website has a place where you can find those.

Once you get them all figured out and filled in, the bankruptcy court charges a filing fee ($299 for a Chapter 7 and $274 for a Chapter 13). Even if you save the attorney fee by doing everything yourself, the court still is going to charge you the filing fee.

You also have to obtain the credit counseling (typical cost $50) and the financial management course (usually another $50). The United States Trustee's office maintains a list of places that can guide you through the class and provide you with one of the required certificates.

Now, I'll let you in on a little secret...

There's a way to get the court to waive the filing fee. If you qualify for that waiver, then you'll also qualify for a waiver of the credit counseling fee. In order to qualify for these waivers, the court needs a lot of financial information from you and they compare the information you compile to the written guidelines for granting waivers (which can be obtained from the court's website). There will be a hearing in front of the bankruptcy judge and that's where the decision whether to give you a waiver will be made.

There are several criteria, but the main one is just how broke you are. What I mean is this-- everyone who files bankruptcy is broke. Only about 2% of bankruptcy cases will qualify for the waivers. They have to save the fee waivers for "the brokest of the broke." (I just made that phrase up, the court doesn't actually call it that.)

So technically, it's possible to file bankruptcy for free. It's hard, but it can be done if you have the stomach for it.

Rustin Polk
Dallas Bankruptcy Lawyer

Rustin S. Polk is the President of Polk & Associates, the law firm he started in 1996. The firm has offices in Dallas, Plano and Fort Worth and is on the internet at http://www.214bankruptcy.com

Filing Bankruptcy While Married

There are three ways that you can file bankruptcy while married: Married, filing jointly, or Married, not filing jointly, without declaration of separate households, or Married, not filing jointly, with declaration of separate households.

Of course, married, filing jointly is the easiest of the three declarations. Since both spouses participate in the bankruptcy, they are one economic unit. Both incomes are included in the form B22A (Means Test). Their combined expenditures are shown on the statement of current expenditures.

Under married, not filing jointly, without declaration of separate households, the debtor is filing independently of his or her spouse who is residing with them. Because the non-filing spouse lives with the debtor, his or her income must be included in the means testing as well as their expenses being reported on the statement of current expenditures. Because of this, the filing spouse could fail to meet the means testing, even if his or her independent income falls short of being able to pay their incurred debt. The combination of the incomes might easily be high enough to trigger a trustee objection, which would result in denial of the bankruptcy petition.

Married, not filing jointly, with declaration of separate households means that the debtor is declaring that he or she and his or her spouse no longer reside together. As a result of this separation, the spouse income is no longer available to settle household debts. The debtor must be willing to swear under oath that this is true and provide documentation to prove that he or she is not simply attempting the court to negate his or her spouse's income as part of the means calculation.

Such complexities in a bankruptcy petition must certainly be met by hiring an experienced bankruptcy attorney to represent your interests in court. Perhaps a married, filing jointly petition could be handled on-line without the involvement of legal representation. Certainly, however, debtors filing a married, not filing jointly, without declaration of separate households petition or a married, not filing jointly, with declaration of separate households petition, will need a good lawyer.

You should also be certain to consult a tax expert before undertaking a bankruptcy of any type, in order to determine how the outcome of your bankruptcy will impact your tax situation and the filing of your next income tax return. It is important that the information you present in bankruptcy court coincide with the information that you report to the IRS before and after your bankruptcy determination.

Chintamani Abhyankar, is a well known expert in the field of finance and taxation for last 25 years. His famous Tax eBook "Stop donating your money to IRS" which is now running in its second edition, provides intricate knowledge and valuable tips on personal finance and income tax. Just visit his website http://www.planningyourtax.com/ and claim your FREE eBook

Filing for Bankruptcy Without an Attorney

Corporations and partnerships must have an attorney to file a bankruptcy case. Individuals, however, may represent themselves in bankruptcy court. While individuals can file a bankruptcy case without an attorney or "pro se," it is extremely difficult to do it successfully.

It is very important that a bankruptcy case be filed and handled correctly. The rules are very technical, and a misstep may affect a debtor's rights. For example, a debtor whose case is dismissed for failure to file a required document, such as a credit counseling certificate, may lose the right to file another case or lose protections in a later case, including the benefit of the automatic stay.Bankruptcy has long-term financial and legal consequences - hiring a competent attorney is strongly recommended.

Debtors must list all property and debts in their bankruptcy schedules. If a debt is not listed, it is possible the debt will not be discharged. (Lists of the documents [including schedules] that debtors must file are set out on Form B200 (pdf), one of the Director's Procedural Forms.) The judge can also deny the discharge of all debts if a debtor does something dishonest in connection with the bankruptcy case, such as destroying or hiding property, falsifying records, or lying. Individual bankruptcy cases are randomly audited to determine the accuracy, truthfulness, and completeness of the information that the debtor is required to provide. Please be aware that bankruptcy fraud is a crime.

Pro se litigants, whether debtor or creditor, are expected to follow the rules that govern procedures in the federal courts. Pro se litigants should be familiar with theUnited States Bankruptcy Code, the Federal Rules of Bankruptcy Procedure, and the local rules of the court in which the case is filed. Local rules, along with other useful information, are usually posted on the court's web site and are available at the local court's intake counter.

Credit Counseling

Individual debtors are generally required to obtain credit counseling from an approved provider within 180 days before filing a case, and to file a statement of compliance and a certificate of credit counseling furnished by the provider. Failure to do so may result in dismissal of the case.

Finding an Attorney, including Free Legal Services

Debtors are strongly encouraged to obtain the services of competent legal counsel. Even if you cannot afford to pay an attorney, you may be able to qualify for free legal services. For information about hiring an attorney, or about free (also known as "pro bono") legal services, contact your state or local bar association. Many law schools have legal clinics that offer free legal services. Court web sites often have contact information for bar associations and pro bono legal service programs, as well as important procedural information.

For information about such legal resources, check the American Bar Association'sLegal Help page, the Legal Services Corporation, or the web site of the bankruptcy court where you intend to file. If you do not know where you are permitted to file a case, check the Official Bankruptcy Forms page to see the box on Form B1 (Voluntary Petition) entitled "Information Regarding the Debtor - Venue" and the part of the Instructions relating to that box.

If you are filing or involved in a bankruptcy case and do not have an attorney, the web site of the bankruptcy court where the case has been or will be filed may be of assistance. The Bankruptcy Resources page may be of help as well.

Foreclosure

Homeowners who are having trouble or have fallen behind in making their mortgage payments may have options that would allow them to avoid foreclosure and bankruptcy. For more information, check these foreclosure resources.

Beware of offers made once your house is in foreclosure - there are a number of fraudulent schemes specifically directed at individuals facing foreclosure. Contact your state attorney general or other state consumer protection agency regarding any suspicious proposal, such as one that requires transferring your property to a third party in order to avoid foreclosure.

Petition Preparers

Beware of bankruptcy petition preparers who do not comply with all legal requirements. The role of non-attorney petition preparers is solely to type information on Bankruptcy Forms (available at this link without charge). Petition preparers are barred by law from providing legal advice - they cannot explain how to answer legal questions or assist in bankruptcy court. Petition preparers must sign all documents they prepare; print their name, address, and social security number on such documents; and furnish copies to the debtor. They cannot sign a document on the debtor's behalf or receive payment from the debtor for court fees.